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Husband's Pension Plan REFUSES to pay trustee!

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    Husband's Pension Plan REFUSES to pay trustee!

    Our plan was confirmed on 6/28/07 ...our income is: my husband's retirement pension fund and my income is 1099 independent contractor (self employed).

    I have been making the payments myself since 1/07 waiting for husband's pension plan to pay the trustee as ordered by the court.

    I didn't get this letter since it was not sent to me because i saw it on pacer but it was sent to our attorney and the trustee BY the lawyer who represents the pension fund saying that due to the fact that the pension is governed by ERISA and due to the anti-assignment provisions of ERISA that they cannot make payments to the trustee!

    They also go on to say that in the past (even involving this trustee which goes on to say that they will name names and case numbers if needed) that the trustee, the lawyer for the pension fund, and the debtors lawyer agreed to resolve by doing an amended confirmation saying that the debtor would make the payments to the trustee. Then the lawyer for the pension plan goes on to say that he recommends that in this case and that in previous cases concerning this the court has not had a problem with such amendments under these circumstances. (this trustee wants it taken out of payroll and them to mail it in).

    Anyway, they can't take it out of mine because I'm not an employee of the place i am working at, i'm a contractor and these people don't even take out my taxes.

    I guess the reason why i'm posting this is to find out or check to see if the chances would be good for us to pay it ourselves like we have been for the past 7 months.

    They can't just drop the whole thing and reverse the confirmation and dismiss it on the grounds that the pension plan won't pay the monthly plan amount, can they? I mean that would be totally nuts!! I can't help it if the law tells them they can't pay it and I can't help it if i'm self employed!
    12/19/06 Chapter 13
    1/22/07 341 Meeting
    3/5/07 Confirmation Hearing Continued
    6/28/07 CONFIRMED!

    #2
    I'm sure every district is different, but since I don't have a steady source of income, I make my payments directly to the trustee with certified funds. I also have the option to set up an automatic withdrawal for the trustee to take the payments. Maybe that is an option for you. Check your trustee's website.
    I used to have a life, now I have grandkids.

    Comment


      #3
      Originally posted by wooisme View Post
      They can't just drop the whole thing and reverse the confirmation and dismiss it on the grounds that the pension plan won't pay the monthly plan amount, can they? I mean that would be totally nuts!! I can't help it if the law tells them they can't pay it and I can't help it if i'm self employed!
      The trustee and your husband's pension plan owners will work this out between them. It sounds like the plan owners have already had dealings with the bankruptcy courts before. Just be sure that your lawyer stays on top of things and you keep checking PACER regularly as you have been.

      We make our trustee payments directly ourselves by personal check each month. Paid 13 payments now without a miss - only 47 more to go!
      I am not a lawyer and this is not legal advice nor a statement of the law - only a lawyer can provide those.

      06/01/06 - Filed Ch 13
      06/28/06 - 341 Meeting
      07/18/06 - Confirmation Hearing - not confirmed, 3 objections
      10/05/06 - Hearing to resolve 2 trustee objections
      01/24/07 - Judge dismisses mortgage company objection
      09/27/07 - Confirmed at last!
      06/10/11 - Trustee confirms all payments made
      08/10/11 - DISCHARGED !

      10/02/11 - CASE CLOSED
      Countdown: 60 months paid, 0 months to go

      Comment


        #4
        From the "For what it's worth Dept". When I filed, my 25 year old daughter was living with us, and we don't claim her on our taxes but we included her on the schedules. At the 341 meeting the trustee questioned me about this. I explained that she had her own issues but I didn't go into detail. We were allowed to claim her as a member of the household. However, she didn't have any income at the time.
        I used to have a life, now I have grandkids.

        Comment


          #5
          well, i have been paying this on my own for the past 7 months waiting for confirmation. it most certainly is not my fault that his pension plan is protected by law that they cannot pay the trustee directly NOR is it my fault that I'm my own employer.....................the letter states that the pension lawyer has dealt with this trustee in the past about this same issues and it was resolved in those cases that the debtor pay directly. so I can't see why they would not LET me pay this on my own
          12/19/06 Chapter 13
          1/22/07 341 Meeting
          3/5/07 Confirmation Hearing Continued
          6/28/07 CONFIRMED!

          Comment


            #6
            I'll tell ya, if we have to open this damn thing up AGAIN and do an amendment to the confirmed plan because of their mistake i'm going to scream bloody murder. They should have just gone ahead and let me pay this on my own like I wanted to from the beginning when I questioned this with them about his pension and the fact that i'm my own employer!

            This whole thing has cost me my health. i had just come from the doctors on wed from them telling me that they think i had a series of mini strokes and i'm not suppose to be upset. and I'M UPSET!
            12/19/06 Chapter 13
            1/22/07 341 Meeting
            3/5/07 Confirmation Hearing Continued
            6/28/07 CONFIRMED!

            Comment


              #7
              Originally posted by wooisme View Post
              This whole thing has cost me my health. i had just come from the doctors on wed from them telling me that they think i had a series of mini strokes and i'm not suppose to be upset. and I'M UPSET!
              So sorry that to hear this latest glitch is taking its toll, woo . Hang in there, and do your best to let the slow wheels of the legal system grind along at their own pace. You can't control it, so worrying about it is a waste of energy. Keep in touch with your lawyer and let him/her worry instead - that's what you are paying them for. Keep venting here to help cope with the stress - we're here to listen any time.
              I am not a lawyer and this is not legal advice nor a statement of the law - only a lawyer can provide those.

              06/01/06 - Filed Ch 13
              06/28/06 - 341 Meeting
              07/18/06 - Confirmation Hearing - not confirmed, 3 objections
              10/05/06 - Hearing to resolve 2 trustee objections
              01/24/07 - Judge dismisses mortgage company objection
              09/27/07 - Confirmed at last!
              06/10/11 - Trustee confirms all payments made
              08/10/11 - DISCHARGED !

              10/02/11 - CASE CLOSED
              Countdown: 60 months paid, 0 months to go

              Comment


                #8
                what i don't like is i email the lawyer and nothing. this letter was not sent to us, it was sent to our lawyer and to the trustee, i didn't even get a copy of it. but the pension lawyer has dealt with this trustee before and it's always been worked out so the debtor pays it instead. they can't take it from mine cause i'm self employed.

                has anyone ever heard of them dismissing it on those grounds because the employer won't take it out?????
                12/19/06 Chapter 13
                1/22/07 341 Meeting
                3/5/07 Confirmation Hearing Continued
                6/28/07 CONFIRMED!

                Comment

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